Tax-exempt organizations are held to an extremely high standard. They can expect donors, the government, the media and the general public to all scrutinize their operations. Although nonprofits usually don’t pay taxes, they do prepare an annual informational return (Federal Form 990) to showcase how they use their funds and fulfill their mission.
The nonprofit tax specialists at CPAs & Advisors will work closely with you on both the financial and narrative sections of this public document. We will work with you so your 990 paints an accurate and compelling picture of your nonprofit’s mission, financial health, governance standards and operational effectiveness.
Beyond our meticulous Form 990 work, we also handle all aspects of nonprofit tax planning, tax-related regulatory compliance, tax analysis and more. We guide your organization through the myriad of rules and regulations involved in maintaining its tax-exempt status, so you can focus on your important work.
Meet tax obligations confidently and strategically
Accurate filing of IRS Form 990 and compliance with financial rule ASC 740 and ASC 740-10 is central to maintaining your status as a not-for-profit. These rules are part of the provisions on calculating current and deferred income tax now required of all organizations adhering to U.S. GAAP standards. Our CPAs has in-depth understanding of the rules and requirements and will apply best practices to support all of your not-for-profit tax filings.
UNRELATED BUSINESS INCOME TAX (UBIT) (FORM 990-T)
Generating income from an activity unrelated to your not-for-profit’s tax-exempt purpose, such as rent, interest, or royalties from financed property, may subject your organization to the Unrelated Business Income Tax (UBIT). Our team can aid you in calculating and reporting UBIT income and can also work with you to shift your organizational focus to minimize it.
ALTERNATIVE INVESTMENT REPORTING AND K1S
Alternative investments may trigger UBIT liabilities. Accountants & CPAs can work with you to determine any potential issues and can also help you carefully structure your K1 to accurately report investment income and its sources.